Rent-to-Income Ratio Calculator
Calculate what share of your gross income a rent goes toward, and see how it stacks up against the standard 30% guideline and the NYC “40x rent” rule most landlords use to qualify applicants.
See our Mortgage Affordability Calculator if you’re comparing renting to buying, or all our calculators.
Glossary
A long-standing affordability guideline holding that housing costs shouldn’t exceed roughly 30% of gross income. It traces back to federal housing affordability standards and is still the most commonly cited benchmark for what a household can comfortably afford to pay in rent.
Most NYC landlords and management companies require an applicant’s annual gross income to be at least 40 times the monthly rent. That’s not a separate standard from the 30% rule — it’s the same math expressed differently: 12 months divided by 40 equals exactly 30%. If you clear 40x, you clear the 30% guideline too.
Most buildings will accept a guarantor, typically requiring the guarantor’s own annual income to be around 80x the monthly rent (double the applicant’s standard). Some landlords instead accept prepaid rent (often several months to a year upfront) in place of a guarantor — policies vary by building and management company.
Gross (pre-tax) salary or wages, verified and consistent self-employment or freelance income, and guaranteed bonus income are standard. Unverifiable cash income, one-time bonuses, and inconsistent freelance income are typically discounted or excluded by landlords and leasing offices.
